Customer Experience Trends to Watch in 2023

Improving CX involves streamlining tools and reducing friction to provide customers with what they want, without creating friction. CX tech includes websites, social media, chatbots, and emerging channels like metaverse and AR. There are good reasons why businesses and brands are ranking customer experience trends so highly in priorities for the coming years.

A PWC study found that 73% of consumers consider customer experience as the most critical factor in their purchase decision with only cost and quality of product ranking higher. Respondents also revealed that speed, ease of use, friendly service, and convenience were the four important pillars driving customer experience. While 2022 experienced a rise in investment in CX technology and tools, the way ahead is exploding to an estimated value worth $27.31 billion in 2026.

However, with so many innovations and options available, it is often overwhelming to understand where to begin. Based on the customer experience trends in 2022, we have created a list of customer experience trends in 2023 you would want to watch. Reach out to us for customized customer experience solutions.

Top Customer Experience Trends You Cannot Miss in 2023

Technology and automation are the most vital elements for CX solutions. The emerging trends in customer engagement will have a significant impact on our customer experience initiatives. Before outsourcing customer support, ensure that you choose a company that adheres to the changing trends in customer experience.

#1: Omnichannel customer experience to be a trendsetter

Omnichannel customer experience is the primary expectation of businesses and brands. Today customers prefer seamless access to multiple channels or touchpoints. To deliver this, businesses are considering moving to an omnichannel customer experience solution. There are several benefits of this customer experience trend.

For instance, you can map every customer’s journey to gain better visibility of customer personas, which will help you create end-to-end journeys across live and digital channels. You are opening ways for customers to interact with the brand at different levels for a cohesive experience. In addition, you can outline engaging strategies for customers to deliver a stellar experience.

You can also identify different channels and deliver consistent CX throughout the customer journey. Adopting this customer experience industry trend has helped many companies deliver an omnichannel customer experience. This is an innovative approach that creates a powerful and customer-oriented experience.

Struggling to match the changing pace of the CX industry? Learn how to adopt new customer experience trends with ContactPoint 360.

#2: Prepare for more profound use of predictive analytics

Data is the most crucial element for business. Today, businesses have adequate access to relevant customer data than in the past. They can leverage this data and offer personalized customer support solutions. Thus, businesses are investing heavily in predictive analytics to deliver the best customer service.

Together with AI and predictive analytics, brands can dive deeper to harness data and target customers accurately to provide personalized recommendations and services. Predictive analytics successfully captured an array of diverse businesses, and its worldwide market is projected to hit up to $10.95 billion by 2023. It is another customer experience trend to watch closely.

Predictive analytics works by using previous customer data. Brands can use the data to know when customers are likely to repurchase or are eyeing new products in the market. Brands can also generate insights to forecast behaviors and trends with greater accuracy using analytics models and tools.

It can also be utilized for predicting important events in the customer life cycle to boost revenue. Furthermore, businesses can identify and use different patterns within the data to track and identify potential opportunities and risks.

Predictive analytics is also used to optimize marketing campaigns. Brands can successfully generate customer responses and promote cross-selling opportunities. With predictive models, brands can win over customers time and again, nurture them, and retain them as well. This is one of the unfailing customer service trends to watch.

#3: CX = Data-driven marketing strategies set the norm

Data-driven marketing is the way to the future. Undoubtedly, data enables brands to target consumers more accurately, engage with them, and connect. Customers value a business beyond the quality of the product and price.

One bad experience could deter your prospects from converting to customers. The goal of a customer experience consultant is to deliver solutions aligned with the needs of the customer. This is also a CX trend that cannot be missed.

With data-driven marketing strategies, customer support solutions enable personalized marketing. Using this customer experience trend in 2023, you can understand customer personas and profiles better to build customized campaigns and send the right message to the target audience at the best time. It is quintessential to create targeted messages relevant to your audiences for the best result.

Similarly, this approach also improves customer experience manifolds. Backed with relevant data, it allows businesses to have a bird’s eye view of customers. With customer satisfaction reports and surveys, you can also understand those areas that need improvement. Moreover, you can gain insights to identify the areas where your products or services could be sold, segment the audience that might benefit from them, and create targeted campaigns.

#4: Personalization to be very personal

The Pulse Check report by Accenture Interactive reveals that 91% of customers are more likely to buy with brands that recognize them, remember their past transactions to provide, and offer relevant recommendations and offerings. Curated commerce with personalized content is not just good to have, but a necessity. Customers expect personalized experience, which is also a decisive factor for loyalty.

Businesses can no longer take a granular approach when it comes to personalization. A Statista report of 2022 indicates that more than 60% of surveyed buyers opined that brands delivering generic content would eventually lose loyal customers. Personalization plays a key role in shaping customer experience trends.

In today’s CX landscape, it ensures that the right channels for communication are available depending on consumers’ preferences.

Powerful AI tools and hyper-personalization can be game changers for outsourcing consultants as well. They can adapt these customer service trends to deliver actionable insights while capturing the sentiment and intention of customers.

These tools can integrate with both the CRM and CCaaS systems, which helps businesses create diverse customer profiles relevant to marketing, sales, as well as service.

Today, customers are looking for more, including product recommendations like shoes matching outfits they just bought along with accessories like a watch and a belt. They even expect brands to understand and anticipate their demands and remind them when it is almost time to upgrade. Most loyal consumers expect brands to know them and their needs, keep their best interests in mind and build brand experiences that make them feel special.

#5: Authenticity, no secrets, and compliance –customers prefer transparency

Comprehensive brand and product transparency builds trust and creates a wonderful and appealing customer experience. When your brand is open about its products, processes, and pricing, it makes your customers more confident about your brand value and you have nothing to hide. Providing honest and transparent information is one of the most underrated customer experience trends.

In addition, customers only want to engage with brands that deliver powerful experiences and ensure they are safe. Over time, new regulatory guidelines have evolved to emphasize heavily on privacy policy and the protection of customers. Companies should ensure that all their CX initiatives are channelized to meet these standards.

Tools for WFM, contact center, and other CRM tools used by business leaders ensure compliance tracking to eradicate privacy issues in the workplace. This shall be increasingly important in the present and the future as hybrid and distributed work models continue. Businesses should also ensure that they have clarity of data storage, especially data collected from customers, and how to use it properly.

#6: Optimized agent experience

Undeniably, businesses are focusing on customer experience trends to differentiate their offerings from some of the leading brands in the market. However, as they dig deeper into it, they only realize that there is a lot more to this than the visible. To deliver exceptional customer experience, businesses must ensure that they have highly engaged employees with the right tools and processes.

Empowered, supported, and enlightened team members develop the knack to find answers faster and deliver meaningful customer interactions. As a result, they generate improved business outcomes. This leads to better investment in new processes and tools designed to optimize and enhance the workforce.

Engagement tools combined with workforce management are commonly seen with CCaaS systems as a bundle of futuristic CX stack.

#7: AI and self-service in a new form

Customers now prefer self-service over interaction with customer representatives. A Harvard Business Review suggests that 81% of all customers try to address their issues on their own before reaching out to a contact center. Businesses should make sure that proper self-service initiatives are taken towards automation and introduce new technologies.

In 2023, companies at looking at CRM tools with solutions to build customer portals and intelligent FAQs. Simultaneously, more brands are experimenting with AI-enabled virtual assistants and chatbots that respond to customers intuitively. Companies are also investing strategically in chatbots to facilitate self-service, focusing on tools with Natural Language Processing (NLP) and Machine Learning capabilities.

These are intelligent tools that utilize intuitive conversational analytics to develop a better understanding of the needs of customers at that moment. With the correct solutions, you can pass customers onto your employees whenever there is an escalation. This trend in CX is still coming up and it will offer a lot more than expected.

#8: Automation and chatbots for better CX

Artificial Intelligence is fast restructuring business communication with customers. Chatbots are also predicted to shift from user-based queries to the latest predictive analytics-based conversations in real-time. AI bots are the latest customer experience trends that businesses should not miss.

AI chatbots will be equipped with self-learning capabilities. It will have the power to create contextual customer engagement through different messaging applications. It will also have the intelligence to understand what customers need and build personalized CX strategies to develop stronger relationships with customers.

Bots also use sentiment analysis to emulate customers’ emotional quotient based on the queries. With personalized experiences like this, businesses can improve the overall user experience with the brand. It also boosts brand loyalty. With the growing CX trends of the chatbot, more and more businesses are adapting messaging platforms to improve customer engagement and build customer loyalty.

Messaging is now the most trending way to stay connected.

#9: Augmented Reality for enriching customer experience

Augmented Reality (AR) is trending. It can help online as well as offline businesses to improve customer interactions. According to a MarketsandMarkets report, the Augmented Reality market is likely to reach $61.39 billion by 2023.

AR is one of the most promising CX trends in 2023. With AR, create training programs more efficiently and quickly. Businesses having a diverse product range can now use AR for training customer service agents better so that they can explain everything in detail to customers in no time. AR models are also designed to replicate real products to ensure quicker training.

Using AR, you can also provide your customers with a product or service trial run. It is a classic strategy to win sales. Brands can offer enhanced and real-time CX through AR-enabled trial experience.

Most importantly, AR is also useful for addressing customer complaints much faster. With interactive apps, you can enable faster decision-making to deliver good product impressions to customers. When you offer the real feel of using your product or service, it facilitates buying decisions and leads to better outcomes.

#10: Video marketing strategy to become reality

Even though you have a superior quality product or excellent service, chances are that customers might not choose your brand. That’s simply because you are not giving them a reason to choose your business. Here, video marketing can change the game by creating a highly engaging experience for customers at every stage in the journey. It is one of the most popular customer experience trends you should follow.

97% of modern marketers assert that videos assist customers to understand a product or service, relating to it, and deciding. Video marketing is gradually reshaping the landscape of digital CX standards. It facilitates brands in the early stage of marketing campaigns and ensures a seamless transition through the sales funnel.

Videos demonstrate the pain areas and how the product helps. It enhances the customer experience to deliver solutions as customers want. For instance, if you want promotional videos, you should aim to trigger emotional interest in your customers resonating with them and providing a beneficial solution.

Videos can also be psychological triggers. It can create a long-lasting impression on customers through a correct storytelling approach. All types of emotions are psychological triggers. Utilize these to improve your customer experience strategies and encourage conversion. Thus, you cannot miss this CX trend in 2023.

#11: Voice commerce will lead the show

Smart speakers and similar devices are becoming household names. 55% of all households are likely to have some type of smart speaker device by 2023. Although voice technology has not become mainstream, it still has an impact on multiple spheres, which includes eCommerce. For example, virtual assistants helping customers browse through products online through voice search make shopping much easier.

Brands are predicted to invest greatly in this customer experience trend. This customer engagement strategy will make products and experiences widely available on bigger and broader platforms such as kiosk screens. Voice technology is now a CX trend to swear by. If you are outsourcing customer support, make sure you choose voice commerce as a priority feature.

With voice technology, customer experience trends offer superior solutions. 24/7 voice commerce allows customers to shop quickly and conveniently, instead of a lengthy process to browse and purchase. Because voice commerce offers ease of use, shoppers interact more using their mobile devices. In turn, devices gather owner data, which can be used to deliver a personalized experience.

By leveraging this advanced technology, businesses can now reduce the confidence issue and create a convenient, private, and secure experience for customers. Some leading brands created their personalized Alexa skills to enable customers to purchase through Alexa-enabled devices. This enhances customer experience as customers get prompt answers and support, promotional information, and product details through voice technology.

#12: IoT (Internet of Things) for centralized customer insights

IoT (Internet of Things) is the next big thing for businesses that helps with improved safety, proper asset utilization, increased productivity, and cost savings. Businesses can take optimum advantage of this technology to improve profitability and enhance CX.

IoT is one of the most sought-after CX trends for multiple reasons. It can give you real-time data insights to help you know what your customers are thinking about the product or service you offer. With instant access, you can deliver prompt services on time. The insights are also used for improving existing products and coming up with innovative product ideas.

You can create a roadmap of the products and/or services that need modification. With analytics, you can prepare an action plan and adhere to it to deliver customer service.

IoT also helps in understanding customer behavior. It generates vital data that can be beneficial for your business. Using the insights, you can create personalized communication to increase interaction and assure customer satisfaction.

Furthermore, IoT ensures customer satisfaction. It controls problems with IoT sensors predicting problems even before occurring.

Closing Thoughts

With global digital advancement, CX trends will be shaped and reshaped continuously. Businesses can venture into new avenues by exploring AI chatbots, video marketing, personalized communication, predictive analytics, IoT, and more. These are the latest tools and strategies to engage with customers and stay connected to build lasting relations.

Strengthening customer relationships, building brand loyalty, and delivering quality customer experience are the top priorities of businesses. By staying much ahead of this curve, brands can focus on customer engagement to improve CX and delight customers.

FAQs